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EHC vs. SNN: Encompass Health vs. Smith & Nephew Stock Comparison

How do Encompass Health (EHC) and Smith & Nephew (SNN) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Encompass Health (EHC) and Smith & Nephew (SNN) both fall under the Health Care Equipment & Services industry group, but EHC is classified in Health Care Providers & Services while SNN is classified in Health Care Equipment & Supplies.

Encompass Health (EHC) trades as ordinary local shares, while Smith & Nephew (SNN) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for Encompass Health (EHC) and Smith & Nephew (SNN)
Profile ItemEHCSNN
NameEncompass Health CorporationSmith & Nephew plc Sponsored ADR
Country/RegionUnited StatesUnited Kingdom
GICS SectorHealth CareHealth Care
GICS Industry GroupHealth Care Equipment & ServicesHealth Care Equipment & Services
GICS IndustryHealth Care Providers & ServicesHealth Care Equipment & Supplies
GICS Sub-IndustryHealth Care FacilitiesHealth Care Equipment
Market Capitalization13.50 billion USD13.04 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateSeptember 24, 1986November 16, 1999
Security TypeCommon StockADR

Price Performance

Cumulative Growth

EHC
SNN
GSPC
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Encompass Health (EHC) vs. Smith & Nephew (SNN), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Encompass Health (EHC) and Smith & Nephew (SNN). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Encompass Health (EHC) and Smith & Nephew (SNN). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Encompass Health (EHC) and Smith & Nephew (SNN)
MetricEHCSNN
Total Return (1Y)22.16%-4.20%
Total Return (3Y, Annualized)30.96%11.34%
Total Return (5Y, Annualized)23.55%-0.34%

Risk Profile

Drawdown History

EHC
SNN
GSPC
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Encompass Health (EHC) vs. Smith & Nephew (SNN), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Encompass Health (EHC) and Smith & Nephew (SNN). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Encompass Health (EHC) and Smith & Nephew (SNN)
MetricEHCSNN
Volatility (1Y, Annualized)30.54%27.31%
Beta (5Y)0.820.49
Max Drawdown (5Y)-27.33%-38.80%
Avg. Volume (3M)996.79K1.49M

Risk-Adjusted Performance

Risk-Return Positioning

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EHC and SNN are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Encompass Health (EHC) and Smith & Nephew (SNN)
MetricEHCSNN
Sharpe Ratio (1Y)0.59-0.31
Sortino Ratio (1Y)1.08-0.46

Profitability

ROE (TTM)

Encompass Health (EHC) at 25.11% sits in the top ROE quartile, while Smith & Nephew (SNN) at 11.85% is closer to the peer norm — stronger capital efficiency for EHC.

EHC

Health Care Equipment & Services industry group

25.11%

Max
47.61%
EHC
25.11%
Q3
14.36%
Median
5.45%
Q1
-10.67%
Min
-47.01%

SNN

Health Care Equipment & Services industry group

11.85%

Max
47.61%
Q3
14.36%
SNN
11.85%
Median
5.45%
Q1
-10.67%
Min
-47.01%
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their ROE against the Health Care Equipment & Services industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Encompass Health (EHC) at 10.17% and Smith & Nephew (SNN) at 10.08% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

EHC

Health Care Equipment & Services industry group

10.17%

Max
29.35%
EHC
10.17%
Q3
9.33%
Median
2.18%
Q1
-6.29%
Min
-28.46%

SNN

Health Care Equipment & Services industry group

10.08%

Max
29.35%
SNN
10.08%
Q3
9.33%
Median
2.18%
Q1
-6.29%
Min
-28.46%
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their net margin against the Health Care Equipment & Services industry group benchmark.

Operating Margin (TTM)

Both Encompass Health (EHC) at 18.07% and Smith & Nephew (SNN) at 14.47% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

EHC

Health Care Equipment & Services industry group

18.07%

Max
35.43%
EHC
18.07%
Q3
14.14%
Median
6.81%
Q1
-0.28%
Min
-16.29%

SNN

Health Care Equipment & Services industry group

14.47%

Max
35.43%
SNN
14.47%
Q3
14.14%
Median
6.81%
Q1
-0.28%
Min
-16.29%
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their operating margin against the Health Care Equipment & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Encompass Health (EHC) and Smith & Nephew (SNN)
MetricEHCSNN
ROE (TTM)25.11%11.85%
ROA (TTM)10.08%5.16%
Net Margin (TTM)10.17%10.08%
Operating Margin (TTM)18.07%14.47%
Gross Margin (TTM)44.15%68.44%

Growth

Revenue Growth

Both Encompass Health (EHC) at 10.46% and Smith & Nephew (SNN) at 6.09% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their Revenue Growth across different time periods.

EPS Growth

Smith & Nephew (SNN) at 52.34% sits in the top EPS growth quartile, while Encompass Health (EHC) at 24.22% is closer to the peer norm — faster per-share earnings growth for SNN.

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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Encompass Health (EHC) and Smith & Nephew (SNN)
MetricEHCSNN
Revenue Growth (YoY)10.46%6.09%
Revenue Growth (3Y CAGR)10.92%5.73%
EPS Growth (YoY)24.22%52.34%
EPS Growth (3Y CAGR)27.07%42.01%

Financial Strength

Current Ratio (MRQ)

Smith & Nephew (SNN) at 2.14 keeps current ratio within its industry’s typical mid-range, while Encompass Health (EHC) at 1.09 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for EHC.

EHC

Health Care Equipment & Services industry group

1.09

Max
7.59
Q3
4.00
Median
1.98
Q1
1.37
EHC
1.09
Min
0.30

SNN

Health Care Equipment & Services industry group

2.14

Max
7.59
Q3
4.00
SNN
2.14
Median
1.98
Q1
1.37
Min
0.30
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their current ratio against the Health Care Equipment & Services industry group benchmark.

Debt / Equity (MRQ)

Both Encompass Health (EHC) at 0.79 and Smith & Nephew (SNN) at 0.73 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

EHC

Health Care Equipment & Services industry group

0.79

Max
1.88
Q3
0.91
EHC
0.79
Median
0.58
Q1
0.16
Min
0.00

SNN

Health Care Equipment & Services industry group

0.73

Max
1.88
Q3
0.91
SNN
0.73
Median
0.58
Q1
0.16
Min
0.00
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their debt-to-equity ratio against the Health Care Equipment & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Encompass Health (EHC) and Smith & Nephew (SNN)
MetricEHCSNN
Current Ratio (MRQ)1.092.14
Debt / Equity (MRQ)0.790.73
Net Debt / EBITDA1.792.19

Dividends

Dividend Yield (TTM)

Both Encompass Health (EHC) at 0.55% and Smith & Nephew (SNN) at 1.24% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

EHC

Health Care Equipment & Services industry group

0.55%

EHC
0.55%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SNN

Health Care Equipment & Services industry group

1.24%

SNN
1.24%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their dividend yield against the Health Care Equipment & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Both Encompass Health (EHC) at 12.48% and Smith & Nephew (SNN) at 53.20% pay out more of their earnings than any of their industry peers — the thinnest cover in their groups, so dividend headroom deserves attention.

EHC

Health Care Equipment & Services industry group

12.48%

EHC
12.48%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SNN

Health Care Equipment & Services industry group

53.20%

SNN
53.20%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their payout ratio against the Health Care Equipment & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Encompass Health (EHC) and Smith & Nephew (SNN)
MetricEHCSNN
Dividend Yield (TTM)0.55%1.24%
Dividend Payout Ratio (TTM)12.48%53.20%

Valuation

P/E Ratio (TTM)

Both Encompass Health (EHC) at 22.01 and Smith & Nephew (SNN) at 21.19 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

EHC

Health Care Equipment & Services industry group

22.01

Max
80.41
Q3
47.62
Median
29.93
EHC
22.01
Q1
21.19
Min
4.21

SNN

Health Care Equipment & Services industry group

21.19

Max
80.41
Q3
47.62
Median
29.93
SNN
21.19
Q1
21.19
Min
4.21
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their P/E ratio against the Health Care Equipment & Services industry group benchmark.

P/S Ratio (TTM)

On P/S ratio, both Encompass Health (EHC) at 2.13 and Smith & Nephew (SNN) at 2.07 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

EHC

Health Care Equipment & Services industry group

2.13

Max
8.80
Q3
4.32
EHC
2.13
Median
2.13
Q1
1.10
Min
0.03

SNN

Health Care Equipment & Services industry group

2.07

Max
8.80
Q3
4.32
Median
2.13
SNN
2.07
Q1
1.10
Min
0.03
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their P/S ratio against the Health Care Equipment & Services industry group benchmark.

P/B Ratio (MRQ)

Encompass Health (EHC) at 5.04 sits near its industry’s typical P/B ratio, while Smith & Nephew (SNN) at 12.80 prices above its benchmark range — SNN looks rich relative to book.

EHC

Health Care Equipment & Services industry group

5.04

Max
11.68
Q3
6.12
EHC
5.04
Median
3.00
Q1
1.73
Min
-1.31

SNN

Health Care Equipment & Services industry group

12.80

SNN
12.80
Max
11.68
Q3
6.12
Median
3.00
Q1
1.73
Min
-1.31
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Encompass Health (EHC) vs. Smith & Nephew (SNN): A comparison of their P/B ratio against the Health Care Equipment & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Encompass Health (EHC) and Smith & Nephew (SNN)
MetricEHCSNN
P/E Ratio (TTM)22.0121.19
P/S Ratio (TTM)2.132.07
P/B Ratio (MRQ)5.0412.80
Free Cash Flow Yield (TTM)1.97%8.12%